The Nigeria Customs Service (NCS) has observed a decline in the volume of Single Goods Declarations (SGDs) for imports in the first quarter of 2024, according to a document released by the agency.
The data reveals a decrease of 15,999 SGDs, approximately 5%, compared to the same period in 2023, with the total volume dropping from 327,492 to 311,492. Moreover, a more substantial decline of 91,741 SGDs, around 23%, was noted compared to Q1 2022.
Attributing the decline to fluctuating import duty rates, the NCS highlighted the challenges posed by the Central Bank of Nigeria (CBN) issuing approximately 28 different import duty rates in the first three months of 2024.
Comptroller General of Customs, Adewale Adeniyi, emphasized the impact of these fluctuations on customs activities, citing rates ranging from NGN 951.94 per USD 1 in January 2024 to a peak of NGN 1,662.35 per USD 1 in February 2024. March witnessed 13 different spot rates applied, with an average exchange rate of NGN 1,314.03 per USD 1 during the quarter.
To address these challenges, Minister of Finance, Wale Edun, has initiated consultations with the CBN to mitigate the potential impact of exchange rate fluctuations on import activities.
Despite the decline in imports, the NCS reported a positive trend in export activities, recording a growth of 10.60%, with a total of 10,786 SGDs processed in 2024 compared to 9,752 transactions in 2023.
Furthermore, the agency achieved significant revenue generation, totaling over N1.3 trillion in Q1 2024, marking a substantial increase of 122.35% compared to the previous year. Revenue figures indicate over N390.82 billion in January, over N450.21 billion in February, and over N217.67 billion in March, underscoring a robust performance in revenue collection during the period.
